Dive Brief:
- A new report from CareerBuilder says that most employers (53%) offer job candidates less money than they are willing to pay, expecting them to negotiate, according to an email sent to HR Dive. Of those employers, more than a quarter said they low-ball candidates by $5,000 or more.
- The majority of workers (56%) surveyed, however, said they don't negotiate. Fifty-one percent said they don't do so because they are uncomfortable asking for more money; 47% fear the employer will rescind the job offer if they do so; and 36% don’t want to appear greedy.
- Careerbuilder found that older workers (in this study, described as 35 and older), were more likely to negotiate than their younger counterparts. Slightly more men than women will do so, and by industry, IT workers came in first, followed closely by sales, financial services and healthcare workers.
Dive Insight:
CareerBuilder offered some advice to candidates, recommending that they ask whether offers are negotiable and ask about other benefits like flexible work. For employers, it appears that these questions would come as no surprise.
Some companies are beginning to remove negotiation (or at least most of it) from the process, largely in an effort to address internal gender pay gaps. They've turned to solutions like "compensation bands" instead.
Employers also must remember that states and cities are beginning to adopt salary history bans that prohibit business from asking about a candidate's previous compensation. Some also bar employers from considering previous pay in an offer, even if a candidate volunteers that information.
